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How to Get the Most Out of Audit Firm Interviews [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

How to Get the Most Out of Audit Firm Interviews [SUBSCRIBERS-ONLY]

You have done everything right, prepared a request for proposal (RFP), obtained a list of prospective audit firms, received proposals from the audit firms, and narrowed your choice down to the top three to conduct live interviews. Now the most important step: how to conduct successful interviews to help ensure the “best” selection is made.

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Using Banking Professionals as Trusted Business Advisors [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles Benjamin Takis Subscribers-Only, Articles Benjamin Takis

Using Banking Professionals as Trusted Business Advisors [SUBSCRIBERS-ONLY]

When assembling a team of trusted business advisors (“TBAs”), banking professionals should be at the top of your list. By the nature of their work, banking professionals interact with many different types of clients that are experiencing an ever-changing variety of different challenges. Thus, banking professionals generally bring value-added perspectives, opinions, and experiences that make them an important part of any team of TBAs.

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Assembling a Team of Trusted Business Advisors [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

Assembling a Team of Trusted Business Advisors [SUBSCRIBERS-ONLY]

In the search for different types of information, tactics, and strategies, it is important to draw on traditional internal sources (senior management, staff, and volunteer leadership) as well as external professional business sources. Assembling an experienced team of trusted business advisors (“TBAs”) from nontraditional sources will pay many dividends.

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The Practical Side of Annual Conflict of Interest Disclosure Statements [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

The Practical Side of Annual Conflict of Interest Disclosure Statements [SUBSCRIBERS-ONLY]

Most nonprofit organizations have adopted a code of ethics, statement of values, or code of conduct. Within these statements there is always a reference to monitoring, oversight, and transparency related to conflicts of interest. Having a strong conflict of interest policy strengthens your code of ethics posture. Adding robust annual conflict of interest disclosure statements will project an even higher level of assurance that your organization takes its code of conduct seriously.

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Always Add Written Management Responses When There Are Audit Findings [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

Always Add Written Management Responses When There Are Audit Findings [SUBSCRIBERS-ONLY]

Audit findings are not unusual. Most nonprofit organizations will have many more years with audit findings reported by their auditors than years for which there are no findings. Audit findings tend to produce feelings of negativity and thoughts that something is wrong. Adding thoughtful written management responses will turn negative feelings into positive and constructive actions

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Auditor Continuance: An Annual Question, Not an Annual Change [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

Auditor Continuance: An Annual Question, Not an Annual Change [SUBSCRIBERS-ONLY]

The question of how long to continue with the same auditor is often sitting somewhere off the radar screen. This is both the problem and the answer. The process of asking and answering the auditor continuance question should be part of the audit committee’s standard operating procedures and a standard annual checklist item for the audit committee.

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Recruiting and Using Finance Volunteers in Governance Roles [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

Recruiting and Using Finance Volunteers in Governance Roles [SUBSCRIBERS-ONLY]

Finance should always have a seat at the leadership table within a nonprofit organization. There is an embedded financial impact in all Board and management decisions. To ensure the delicate balancing act of mission vs. financial health is kept front and center, make thoughtful positioning of volunteers with financial experience a priority when finding and seating your Board of Directors and various committees.

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There Is No Perfect Financial Dashboard and That Is Good
Articles A. Michael Gellman (CPA, CGMA) Articles A. Michael Gellman (CPA, CGMA)

There Is No Perfect Financial Dashboard and That Is Good

The problem with financial dashboards is that everybody has a different idea about what makes up a “perfect” dashboard. Opinions are important and the sharing of those opinions in a collaborative process is value-added. It is important to set up a proper framework for this discussion to develop a financial dashboard that fulfills most of the needs of your organization’s many different end-users, which may be quite different from other organizations. The question to ask is not whether a financial dashboard is “perfect” but whether it is “useful” to your particular organization.

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How to Be a More Impactful Treasurer
Articles A. Michael Gellman (CPA, CGMA) Articles A. Michael Gellman (CPA, CGMA)

How to Be a More Impactful Treasurer

How can treasurers step up their game and be more influential as a Board leader? The answer lies in expanding the traditional treasurer role beyond financial reporting and protecting the organization’s financial assets. Enterprise risk management (ERM) is very important, but treasurers have so much more to give.

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Repositioning for the Long Road of Recovery
Articles A. Michael Gellman (CPA, CGMA) Articles A. Michael Gellman (CPA, CGMA)

Repositioning for the Long Road of Recovery

We are on the doorstep of one year into a pandemic that no one saw coming. Nonprofits of all shapes and sizes had to move rapidly to respond to unexpected disruptions. Capacity, operations, and funding all were impacted and impacted quickly. As we watch mass vaccination centers come on-line and COVID-19 safety restrictions starting to be lifted, we can begin to look ahead to the long road of recovery and dream about the new normal somewhere in the future.

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Strong Financial Health Opens the Door to Collaborations with Other Nonprofits [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

Strong Financial Health Opens the Door to Collaborations with Other Nonprofits [SUBSCRIBERS-ONLY]

There are many advantages to participating in joint ventures, coalitions, strategic alliances, or other types of collaborations with other like-minded nonprofit organizations. These types of formal and informal partnerships enable organizations to share programs, capabilities, and gain access to a wider array of members, constituents, and geographic regions. These opportunities multiply if your nonprofit has strong financial health.

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Now is the Time to Push for Changes to Non-Full Cost Funding Practices [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

Now is the Time to Push for Changes to Non-Full Cost Funding Practices [SUBSCRIBERS-ONLY]

Our recent article on the Challenges of Accepting Non-Full Cost Funding prompted compelling and thoughtful comments on the universal problem of non-full cost funding in the nonprofit sector. Many commented that non-full cost funding is a systemic problem that fuels marginalization of the communities, causes, and peoples we serve. To right this wrong, we must draw attention to these problems and advocate for change. Indeed, real sustained effectiveness cannot be achieved if this harmful funding culture continues.

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The Challenges of Accepting Non-Full Cost Funding [SUBSCRIBERS-ONLY]
Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA) Subscribers-Only, Articles A. Michael Gellman (CPA, CGMA)

The Challenges of Accepting Non-Full Cost Funding [SUBSCRIBERS-ONLY]

Most nonprofit organizations are confronted with an unfair choice each year: accept or not accept critical funding that is inherently designed to not cover the full cost of programs and activities for which the funding is provided. This reality has been around for a long time. Looking to the future, we must actively push funders to recognize that sustainability will be damaged if nonprofits continue to be forced to compete for, and pressed to accept, non-full cost funding.

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Why and How Should a Nonprofit Form a Subsidiary?
Articles Benjamin Takis Articles Benjamin Takis

Why and How Should a Nonprofit Form a Subsidiary?

The formation of subsidiaries is a consideration that surfaces during the lifetime of many nonprofit organizations as a strategy to expand operations, growth, and overall capacity to deliver more on mission. A subsidiary is a separate entity that is controlled (to some degree) by a parent organization, and subsidiaries are created by nonprofits for a wide variety of reasons.

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To Plan for 2021, We Have to Learn How to Recognize People’s Uncertainty
Articles A. Michael Gellman (CPA, CGMA) Articles A. Michael Gellman (CPA, CGMA)

To Plan for 2021, We Have to Learn How to Recognize People’s Uncertainty

This December is different from all others. We have the familiar ritual looking ahead and embracing the anticipation of how the next year will play out. But COVID-19, the expanded attention on correcting social injustices, and other events of 2020 have introduced unprecedented new challenges into this end-of-year planning process.

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